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Case
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Reference no. 9-824-P04
Portuguese language
Subject category: Entrepreneurship
Published by: Harvard Business Publishing
Originally published in: 2023
Version: 15 December 2023

Abstract

This is a Portuguese version. In a world where attention is a scarce commodity, this case explores the meteoric rise of TikTok - an app that transformed from a niche platform for teens into the most visited domain by 2021 - surpassing even Google. Its algorithm was a sophisticated mechanism for capturing and holding user attention: 'When you gaze into TikTok, TikTok gazes into you'. TikTok elevated the design of algorithmic systems to a new level, and outperformed US tech giants in user engagement. The app faced a host of challenges - including a complicated relationship with the Chinese government, legislative scrutiny in the US, and global concerns over data security - but grew unabated. How did TikTok design and operate a system that determined each person's preferences in culturally different countries? Is TikTok a threat to democracy in countries like India and the US? Were the potential harms caused by TikTok any different from those caused by other social media companies? The case provides educators an opportunity to discuss the dynamics of global digital platforms, data security, cultural impact, and the geopolitical implications of technological advancements. It also covers the design of the TikTok algorithm, and the importance of the process and organization in making the algorithm effective.

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Abstract

This is a Portuguese version. In a world where attention is a scarce commodity, this case explores the meteoric rise of TikTok - an app that transformed from a niche platform for teens into the most visited domain by 2021 - surpassing even Google. Its algorithm was a sophisticated mechanism for capturing and holding user attention: 'When you gaze into TikTok, TikTok gazes into you'. TikTok elevated the design of algorithmic systems to a new level, and outperformed US tech giants in user engagement. The app faced a host of challenges - including a complicated relationship with the Chinese government, legislative scrutiny in the US, and global concerns over data security - but grew unabated. How did TikTok design and operate a system that determined each person's preferences in culturally different countries? Is TikTok a threat to democracy in countries like India and the US? Were the potential harms caused by TikTok any different from those caused by other social media companies? The case provides educators an opportunity to discuss the dynamics of global digital platforms, data security, cultural impact, and the geopolitical implications of technological advancements. It also covers the design of the TikTok algorithm, and the importance of the process and organization in making the algorithm effective.

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